Finance committee hears July cash-flow report; officials warn December pension, debt payments could push city negative

City finance officials told the Buffalo City Committee on Finance on Sept. 23 that the city’s July 2025 cash position left it more vulnerable than a year earlier and that large December obligations — notably pension and debt payments — are likely to drive the city into temporary negative cash balances unless planned revenues arrive.

Deputy Controller Dwayne Laddell summarized the July cash-flow report, saying, “We began the year with $60,553,000 … leaving us with an ending cash balance for July 31 of $89,988,000.” He and other staff flagged that the July 2025 ending balance was about $6.9 million lower than July 2024 and that projections show a negative cash position from December 2025 through May 2026, peaking at roughly a $77.6 million shortfall before an expected recovery in June 2026 tied to a large state aid payment.

The committee heard the July numbers and the drivers behind them. Laddell and staff reported July receipts included higher property tax receipts (reported at about $78 million for July 2025 versus $52 million in July 2024) and slightly higher sales tax collections, while interest earnings and prescription rebate receipts were below budget for the year. The city recorded a July personnel cost of about $33.7 million, higher than the comparable month in 2024; health-insurance costs for retirees and active employees were also higher year over year.

Commissioner Nasworthy, the city’s commissioner of administration and finance, attributed some year-to-year differences to timing issues and contract-driven payroll changes and said the administration has already…